- Timothy Peterson has valued ChainLink (LINK) at between $5 – $8
- His analysis is based on LINK function calls and network use
- This value should not be considered financial advice and is a measure of LINK’s value based on Metcalfe’s Law
- LINK is currently battling to maintain the $12 support level
Timothy Peterson of Cane Island Alternative Advisors has once again provided insightful analysis regarding the value of ChainLink (LINK). According to Mr. Peterson, one LINK token is currently worth about $5 to $8. He shared his analysis via the following tweet.
1 $LINK is worth about $5 – $8. pic.twitter.com/wZmJTJQbKo
— Timothy Peterson (@nsquaredcrypto) September 6, 2020
LINK Valuation Based on Function Calls and Activity on the ChainLink Network
To note is that Mr. Peterson has clearly explained that his valuation of LINK is based on function calls and these calls have dropped considerably in the last few days. As a result, the value of LINK has experienced a pullback. Below is a second tweet by Mr. Peterson explaining LINK’s current price action.
#ChainLink‘s price is heavily influenced by function calls – actual use of the ChainLink network. Those calls have dropped back down to trend, I expect price to follow. See Valuing ChainLink With Metcalfe’s Law https://t.co/aaCqAGEbFd pic.twitter.com/TXIbj53qfF
— Timothy Peterson (@nsquaredcrypto) September 5, 2020
Not Financial Advice
Also worth mentioning is that Mr. Peterson has provided a disclaimer that the analysis he shares on Twitter should not be considered financial advice.
Nothing I post on twitter is financial advice. I do not give financial advice on twitter. You should not seek or accept financial advice from anyone on twitter. Everyone’s needs and circumstances are different.
One option would be for crypto traders and investors to use his work to better understand how the network activity of popular blockchains, affects the value of the corresponding native digital asset (Metcalfe’s Law).
ChainLink (LINK) Attempts to Reclaim $12 Support
At the time of writing, ChainLink is once again battling to reclaim the $12 support zone after a brutal weekend in the crypto markets that saw its value dip to as low as $9 – Binance rate. LINK has also lost the 50-day moving average as a support zone and the 100-day moving average (yellow) could provide support in the future at a value of around $8.80.
The latter value also happens to be ChainLink’s last ‘organic’ all-time high value before the LINK marines heeded the call to liquidate Zeus Capital beginning August 2nd. Going back to this level might provide a hypothetical fresh start for ChainLink in the crypto markets with technical indicators better suited to provide clues about the future price of LINK.